While true, note that the effects of tax loss harvesting are really only significant for a few years after acquiring the asset (since stocks tend to go up over time), but you will pay the Wealthfront fee for the rest of your life (especially since they do direct indexing, which makes switching away complicated).

And fwiw, tax loss harvesting sounds complicated, but it really isn't that hard to do. If I notice stocks have gone down a lot recently, I'll hop into Vanguard, and swap anything that is underwater with another similar, but not identical fund. I have one for international and one for US stocks. Took me a few hours to get a system down, and now it's a few minutes to do the harvest once every few years.

> the effects of tax loss harvesting are really only significant for a few years after acquiring the asset (since stocks tend to go up over time)

This is true only if you invest once in your life and then hold those assets forever. But if you invest every quarter then you can do TLH on those new lots individually. And since those new lots will keep coming, your TLH will always have something to work with.

> This is true only if you invest once in your life and then hold those assets forever. But if you invest every quarter then you can do TLH on those new lots individually. And since those new lots will keep coming, your TLH will always have something to work with.

That is true, but you pay a percentage fee on all of your assets (which is growing) to be able to TLH assets you've recently added (fairly static amount over time).

This is very true when you only have a handful of assets (e.g 6 ETFs), but the benefits stick around for longer when you do direct investing in stocks (e.g. rather than buying S&P 500 directly, you buy each of the 500 stocks that make up the index). Then in a given year there will almost certainly be some stocks will losses even if the index as a whole goes up.

> If I notice stocks have gone down a lot recently, I'll hop into Vanguard, and swap anything that is underwater with another similar, but not identical fund.

How much effort do you have to put in to avoiding wash sales?

It’s pretty forgiving. For example, an S&P500 ETF and a “Total Stock Market ETF” are considered different even though they are 99% correlated. There are lots of indexes from different companies that track the same thing and I wouldn’t be surprised if 2 ETFs that track 2 different “Total Stock Market” indexes also work (99.9% correlation?)